Common use of AUTHORIZED WITHHOLDING Clause in Contracts

AUTHORIZED WITHHOLDING. Each Member authorizes the Company to withhold from or pay on behalf of or with respect to the Member any amount of federal, state, local, or foreign taxes that the Board of Managers determines the Company may be required to withhold or pay to any Governmental Authority with respect to any amount distributable or allocable to the Member pursuant to this Agreement. Except as otherwise provided in this Agreement to the contrary, any amount withheld from any distribution otherwise payable to a Member will be deemed to have been distributed to the Member for purposes of this Agreement and paid by such Member to the relevant taxing authority. Any amount paid on behalf of or with respect to a Member other than amounts withheld from distributions otherwise payable to a Member shall constitute a loan by the Company to the Member, which loan shall be due within fifteen (15) days after repayment is demanded of the Member in question by the Board of Managers. Any amounts payable by a Member hereunder shall bear interest at 18% per annum, such interest to accrue from the date such amount is due (i.e., fifteen (15) days after demand by the Board of Managers) until such amount is paid in full.